Business, 24.10.2019 17:43 savingmayo

The costs above relate to making both the lip balm and the tube that contains it. as an alternative to making the tubes for chap-off, silven has approached a supplier to discuss the possibility of buying the tubes. the purchase price of the supplier's empty tubes would be $1.35 per box of 24 tubes. if silven industries stops making the tubes and buys them from the outside supplier, its direct labor and variable manufacturing overhead costs per box of chap-off would be reduced by 10% and its direct materials costs would be reduced by 25%.

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The costs above relate to making both the lip balm and the tube that contains it. as an alternative...